Mincsovics, Gergely; Tan, Tarkan; Alp, Osman - In: European Journal of Operational Research 196 (2009) 3, pp. 949-958
We model a make-to-stock production system that utilizes permanent and contingent capacity to meet non-stationary stochastic demand, where a constant lead time is associated with the acquisition of contingent capacity. We determine the structure of the optimal solution concerning both the...